How to Repay a Loan

Repaying your loan releases your collateral risk and increases your Health Factor back to safer limits. You can repay loans partially or entirely.

Step-by-Step Guide

1. Navigate to the Your Borrows section on the main dashboard.

2. Find the asset you are currently borrowing and click the Repay button next to it.

3. The Repay Modal will open. You can choose to:

   • Repay a custom amount by typing it in.

   • Repay Maximum to entirely clear your debt for that asset.

   • Note: Your debt continuously grows due to interest, so repaying the maximum will calculate the exact dust amounts required to close the position fully.

4. Click Repay and sign the transaction. (If repaying an ERC-20 token, you may need an Approve transaction first).

5. Once confirmed, your DebtTokens will be burned, your total borrowed amount will decrease, and your Health Factor will immediately improve.